Blog Posts by Elizabeth Trotta

The August jobs report was distressing for a number of reasons, and one of them was that a fall in the unemployment rate (to 8.1% from 8.3%) was actually a negative thing. This might cause one to wonder, if it's bad for the rate to go up, and it's bad for the rate to go down, and it's arguably bad for the rate to stay the same -- because that would mean there's no improvement -- what could the rate possibly do that would be good?

[From Breakout: Why a Drop in the Unemployment Rate Is Tragic]

A drop in the jobless rate in this case was negative because it represented the exit of hundreds of thousands of Americans from the workforce. The civilian labor force declined and the labor force participation rate hit a generational low of 63.5%. By another measure, "the employment-population ratio has basically been unchanged, which tells you the share of working population employed hasn't increased, even if the unemployment rate has declined," says Michael Feroli, chief U.S. economist at

Mortgage rates continued to slip last week amid mixed economic data, but it didn't bolster mortgage demand from prospective homebuyers, and those who own homes aren't rushing out to refinance.

[Click here to find mortgage rates in your area.]

The 30-year fixed rate fell to 3.55%, down from 3.59% the week prior, while the 15-year rate held steady at 2.86%. The two-week decline in the 30-year rate followed a one-month rise. Rates are now again near record lows, as you can see in the chart below.

One year ago, the 30-year and 15-year rates were at 4.12% and 3.33%, respectively.

The health of housing, an endless debate, appeared a bit improved earlier this summer as data in August showed more homes sold and inventories of new homes depleted to record lows. By some measures, prices were rising. Are those merely fluctuations?

The recent dip in the 30-year rate did little to bolster demand for refinancing, and applications for new mortgages also decreased. The Mortgage Bankers Association

Mortgage rates reversed course last week and followed bond yields lower after the release of the minutes of the most recent Federal Reserve Open Market Committee meeting.

[Click here to find mortgage rates in your area.]

The minutes revealed committee members were concerned about a deceleration in economic activity in recent months and that more monetary stimulus is potentially on tap. Since then, the Commerce Department reported that GDP climbed at an annualized rate of 1.7% in the second quarter. That's up from the original estimate of 1.5%, but still denotes a slowdown from previous quarters.

The 30-year fixed rate hit 3.59%, down from 3.66% last week, erasing the last two weeks of gains. The 15-year fixed rate dropped to 2.86%, down from 2.89%. The drop comes after a four-week increase that followed months of new record lows. (See the chart below.)

One year ago, the 30-year and 15-year rates were at  4.22% and 3.39%, respectively.

Other data this week showed home prices continued

Retirement seems like it would be something nice to talk about as one speculates what they might do when they are done with the workday grind. But that's not exactly the case, as many see themselves working past the one-time traditional retirement age.

Social security and other entitlements are hot-button issues facing a battery of criticism and even more uncertainty than usual in an election year. And, of course, the market fallout in 2008 made it clear that many future retirees also might not be able to count on the money they have stashed away, depending on where it's invested.

In a Yahoo! Finance poll Wednesday, 40 percent of respondents said they wouldn't work past 65. A bit less than that, 35 percent, said they would have to work, and 25 percent said they will work, but not out of necessity.

Slightly More Optimistic

Today's Yahoo Finance poll reflected a slightly more optimistic group than the Parade/Yahoo Finance survey published today, which showed a more sparse 33 percent of

The housing market appeared a bit rosier this week, leading some to move their debate from whether the market has hit a bottom to what a recovery in housing would mean to the economy.

Data this week showed more homes sold and inventories of new homes depleted to record lows. By some measures, prices were also rising this summer. Fewer people are seeking to refinance as mortgage rates have started to creep higher, but applications for new home loans still increased.

"Housing has gone from a big negative to neutral" for the economy, Mark Zandi, chief economist at Moody's, said on the Daily Ticker. "By this time next year it will be a plus, and two years from now a big plus and one of the reasons the economy will be growing much more quickly than many think in 2014 and 2015."

[Click here to find mortgage rates in your area.]

Mortgage rates rose for the fourth week in a row, along with long-term yields. The 30-year fixed rate to 3.66%, up from 3.62%, and the 15-year fixed rate edged up

Is housing on the mend or are recent fluctuations merely glimmers of false hope?

Last week we found out that the National Association of Home Builders/Wells Fargo Housing Market Index increased for the fourth month straight in August and mortgage rates ticked higher for the third consecutive week after weeks -- make that months -- of new record lows. But housing starts for July were weaker than expected and weekly data also showed fewer people sought to refinance or applied for a new mortgage.

[Click here to find mortgage rates in your area.]

Bulls and bears will again be looking this week for confirmation of their respective views. Here's what to look for in a battery of data over the next two days:

Mortgage Applications (Wednesday 7 a.m., ET): The Mortgage Bankers Association releases a weekly index of mortgage activity. Are prospective homebuyers waiting for better conditions yet -- if they exist -- or are they making their move now because they think rates and prices have already

If three times is a trend, mortgage rates are officially trending higher, at least for now. The 30-year fixed mortgage rate averaged 3.62%, up from 3.59% the week prior, Freddie Mac reported Thursday. It's the third consecutive week rates have increased.

[Click here to find mortgage rates in your area.]

"The latest economic indicators point toward low inflation but gradually stronger economic activity which placed further upward pressure on long-term Treasury yields and, in turn, fixed mortgage rates," said Frank Nothaft, vice president and chief economist at Freddie Mac.

The 15-year fixed rate also ticked higher, to 2.88%, up from 2.84% the week prior. For perspective, one year ago, the 30-year and 15-year rates stood at 4.15% and 3.36%, respectively.

Data earlier in the morning showed building permits jumped nearly 7% to 812,000 in July,  topping expectations, but housing starts decreased to 746,000 in July from a downwardly revised 754,000 in June.

Meanwhile, the Nation Association

Mail trucks in front of Cooper Station post office in East Village, New York City. (photo: Siemond Chan)

The U.S. Postal Service failed to deliver a $5.5 billion payment due August 1 to the U.S. Treasury for future retiree health-care payments, and said it will also not be delivering a $5.6 billion payment that's due September 30 absent any action from lawmakers.

The USPS struggles are no sudden surprise -- it's been losing money since 2007 (see the chart below) and lost $14.1 billion in 2011.

United States Postal Service Revenue 2003 - 2011

The USPS announced a plan earlier in the year that included cutting Saturday service, reducing hours of operation at some remote offices, and closing some money-losing locations, in addition to eliminating as many as 220,000 jobs. (See below for states that had the greatest number of post offices considered for reduced hours of operations.)

The U.S. Senate passed a bill that would allow the post office to cut staff by 100,000, but lawmakers would not clear the path for other requests, including the closure of offices that are a financial drain and the cutback to five-day delivery.

Yahoo! Finance